1. Although clubs and associations are non-business organization, financial records need to be kept as well as business firms. At the end of each financial year, the honorary treasurer must present the following statement in the general meeting for the member’s particulars:
a) Receiving and Payment Accounts.
b) Trading Account (for clubs handling canteens or other business activities)
c) Income and Expense Accounts.
d) Balance sheet
2. The terms used in the accounting records of clubs and associations differ from business firms as shown below:
| (a) Receipts and Payment Account (or Cash Inward and CashOutward Account) | (a) Cash Book |
| (b) Income and Expenses Account | (b) Profit Loss Account |
| (c) Surplus | (c) Profit Loss |
| (d) Deficit | (d) Net loss |
| (e) Funds collected | (e) Owner Capital/Equity |
| (f) Balance Sheet/Affairs Statement | (f) Balance Sheet |